Chronicles Of Depression 2.0: #400: Chicago

CHICAGO (CBS) ― Mayor Richard M. Daley says the economic woes in Chicago will get much worse, and more local workers could soon be getting pink slips.

As CBS 2’s Joanie Lum reports, the news is especially alarming because the discussion concerns not just city jobs, but the private sector. Thus, it seems the City That Works is about to become the city that gets laid off.

Mayor Daley says chief executive officers told him huge layoffs will impact the city this month and into the new year. He also says city, county and state governments should be prepared for their revenue to fall dramatically because of the souring economy.

In addition, the federal bailout plan is changing, and the big three automakers are all warning they could go bankrupt, and lawmakers say if the auto industry goes down, the huge number of jobs lost would cause more house foreclosures.

On Wednesday, Mayor Daley joined with local gas company officials to announce new programs to help low-income customers pay their heating bills.

He disclosed that corporate leaders are telling him they are planning huge layoffs in November and December, which will leave many Chicagoans out of work.